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The duration of a ten-year, 10 percent coupon bond when the interest rate is 10 percent is 6.76 years. What happens to the price of
The duration of a ten-year, 10 percent coupon bond when the interest rate is 10 percent is 6.76 years. What happens to the price of the bond if the interest rate increases to 12 percent? A) It rises 20 percent O B) It rises 12.3 percent. C) It falls 20 percent OD) It falls 12.3 percent
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